Fluor Marine Propulsion Lands $2B Navy Contract Modification for Naval Nuclear Propulsion Program Support

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The U.S. Navy awarded Fluor Marine Propulsion a $2 billion contract modification to continue providing services for the Naval Nuclear Propulsion program at the Naval Nuclear Laboratory.

Naval Nuclear Propulsion Contract Deliverables

The Department of Defense said Wednesday the cost-plus-fixed-fee modification, awarded by the Naval Sea Systems Command on Sept.15, covers support for ongoing maintenance and development services for the Navy’s nuclear propulsion systems. The award exercises fiscal 2026 options stated in the original contract.

Work Locations & Funding

The Arlington, Virginia-based Fluor subsidiary will perform the contract work in Schenectady, New York, Pittsburgh, Pennsylvania, and Idaho Falls, Idaho. NAVSEA will obligate funds at the time of the award, with $107.3 million coming from the Navy’s fiscal 2025 shipbuilding and conversion funds. The command will also allocate $5 million from the service branch’s fiscal 2023 other procurement funding, $3 million from fiscal 2025 operation and maintenance funds, and $289,701 from fiscal 2024 research, development, test and evaluation budget. An amount of $8 million will expire at the conclusion of the current fiscal year.

Original Contract Details

NAVSEA awarded Fluor the initial $1.2 billion contract in July 2018. The contract included options that, if exercised, would bring the total estimated value to over $13 billion.